Latest news with #CharlesWang
RNZ News
12-05-2025
- Business
- RNZ News
China stocks rally, yuan gains on Geneva trade talk optimism
"The weekend talks are better than expected," said one Chinese investment expert. Photo: AFP Chinese stocks rallied and the yuan strengthened on Monday, after weekend talks in Geneva between Chinese and US officials showed encouraging signs of a de-escalation in a high-stakes trade war. US Treasury Secretary Scott Bessent and chief trade negotiator Jamieson Greer held long talks on the weekend with senior Chinese officials led by Chinese Vice Premier He Lifeng in Switzerland. Both sides struck a positive note afterwards, with markets awaiting details of any early agreement later in the day. China's blue-chip CSI 300 Index was up 0.6 percent at midday break, while the Shanghai Composite Index added 0.4 percent. Hong Kong's benchmark Hang Seng Index climbed 0.9 percent. The yuan strengthened 0.2 percent against the dollar, while its offshore counterpart was up about 0.3 percent in Asian trade. "The weekend talks are better than expected," said Charles Wang, chairman of Shenzhen Dragon Pacific Capital Management Co in Shenzhen. "Both sides are under strong incentives and pressure to push forward trade talks, but the game will be a long process. "Both sides need to determine on areas of concession and persistence." Before the talks, US President Donald Trump had signalled punitive tariffs of 145 percent on China would likely come down and even floated an alternate tariff figure of 80 percent that he said "seems right". China is at the epicentre of Trump's global trade war that has roiled financial markets, upended supply chains and fuelled risks of a sharp worldwide economic downturn. Tensions between the two sides have steadily ratcheted up since Trump's inauguration in January, intensifying after his 2 April 'Liberation Day' announcement of sweeping tariffs and Beijing retaliating with equally hefty tariffs on US goods. China's blue-chip CSI300 Index dropped sharply the week after those tariff announcements, but has since recovered. It is now nearly back around the 2 April level. The Hong Kong benchmark Hang Seng is down 0.3 percent since 2 April. The yuan has benefited from the capital flight from US markets and dollar assets, and is up 0.4 percent since early April. Leading gains on Monday, the CSI Defence Index surged 5 percent and the info tech sub-sector index jumped 0.9 percent. In Hong Kong, the Hang Seng Tech Index advanced 1.9 percent and Hang Seng Automobile Index gained 2.1 percent. - Reuters
Yahoo
12-05-2025
- Business
- Yahoo
Stocks, dollar up as investors wait for details on Sino-US trade talks
SINGAPORE (Reuters) -The United States and China ended high-stakes trade talks on a positive note on Sunday, with U.S. officials touting a "deal" to reduce the U.S. trade deficit while Chinese officials said the sides had reached "important consensus." Wall Street stock futures climbed and the dollar firmed against safe haven peers on Monday as investors waited for a joint statement expected to be released in Geneva later in the day. Vice Commerce Minister Li Chenggang said it would contain "good news for the world." QUOTES: CHARLES WANG, CHAIRMAN OF SHENZHEN DRAGON PACIFIC CAPITAL MANAGEMENT CO, SHENZHEN "The weekend talks are better than expected. Both sides are under strong incentives, and pressure, to push forward trade talks. The U.S. is facing supply chain pressure, while China faces challenges in GDP growth. Both sides need to sit down to strike a mutually acceptable deal. "But the game will be a long process. Both sides need to determine areas of concession and persistence." JASON CHAN, SENIOR INVESTMENT STRATEGIST, BANK OF EAST ASIA, HONG KONG "If the two sides announce or establish a mechanism for regular talks going forward, or some substantial tariff cuts, then other U.S. trade partners or countries trying to make deals will have a reference point or an indicator. How the U.S.-China talks went shows what's the bottomline for both sides. "I think the talks should be quite positive and, if even China can make a deal, then other Asian countries like Japan, India, and Southeast Asian countries could follow and progress their own trade talks."
The Independent
04-03-2025
- Business
- The Independent
China hits back at Trump with fresh retaliatory tariffs on agricultural goods
Trade war between the US and China intensified on Tuesday after Beijing announced up to 15 per cent tariffs on American imports that range from agricultural to food products. Beijing had vowed to impose countermeasures and reiterated its firm opposition after Mr Trump announced additional 10 per cent levies on Chinese imports over the fentanyl row. The levies imposed on US products will be implemented from 10 March, the Customs Tariff Commission of the State Council said on Tuesday, shortly after Mr Trump's tariffs took effect. Beijing will impose a 15 per cent tariff on imported chicken, wheat, corn and cotton, while a 10 per cent tariff will be imposed on sorghum, soybean, pork, beef, aquatic products, fruits, vegetables and dairy products, according to a statement from the government. China accounted for 17 per cent of American agricultural exports in 2023, according to the US department of agriculture. Beijing also placed 25 American firms under export and investment restrictions on national security grounds, but refrained from punishing any household names. China appears to have targeted at least 10 firms for selling arms to the self-governed island of Taiwan, which Beijing claims as its own territory. A spokesperson for the Chinese ministry of commerce earlier in the day had accused the US of disregarding facts and international trade rules, calling it a typical example of "unilateralism and bullying". The additional 10 per cent tariff on Chinese imports will raise the total levies on select Chinese goods to 45 per cent, according to The Washington Post. In a statement published on its website, the ministry urged Washington to "respect the rights and interests of other countries" and "immediately withdraw the groundless and self-defeating unilateral tariff measures". The ministry hoped 'that the US will view and handle trade issues in an objective and rational manner and return to the correct path of resolving differences through good faith dialogue at the earliest possible time". Charles Wang, the founder of Dragon Pacific Capital Management, warned that the trade war will worsen things for the US, which was already facing challenges on multiple fronts. "For China, we have reduced trade dependency with the US from 23 per cent to around 13 per cent, so the direct impact is limited. In addition, China's economy is recovering, and the parliamentary meeting will provide more signals for supporting the economy," he added. Charu Channa, Chief investment strategist at Saxo, told Reuters that while the moves from China may not be particularly bold, there is a reason to believe that China wants to be on the negotiating table with Trump rather than sitting back and absorbing the blows. Last month, Mr Trump claimed that "drugs are still pouring into our country from Mexico and Canada at very high and unacceptable levels". He also claimed that a "large percentage" of these deadly substances were made in China. China reiterated that it had one of the world's toughest counternarcotics policies and implementation mechanisms. "However, the US is shifting blame and doubling down on its mistakes by once again imposing tariffs on Chinese exports to the US under the pretext of the fentanyl issue," it said. On Tuesday, stock markets slumped and bond yields slid in Asia as investors braced for an imminent escalation in a global trade war with the new American tariffs on China, Canada and Mexico. Mr Trump said 25 per cent tariffs on Canada and Mexico would go into effect on Tuesday, prompting Canada to vow retaliation. Both the Canadian dollar and Mexican peso tumbled, although China's yuan bounced off its lowest level since 13 February in offshore trading. Asian equities tracked the biggest losses on Wall Street this year from overnight, with the S&P 500 sliding 1.8 per cent and the tech-heavy Nasdaq dropping 2.6 per cent. Crude oil wallowed near 12-week lows and bitcoin languished around $86,000 after erasing the surge to the cusp of $95,000 that started the week. Tech stocks suffered particular selling pressure, pushing Japan's Nikkei down 2.2 per cent and Taiwan's benchmark index down 1.3 per cent.
